IndyCar: Andretti’s Zapata SPAC Deal sees shares Tumble 58%

Bloomberg reports that Artificial intelligence startup Zapata Computing Holdings Inc. plunged 58% in its debut after a merger with former IndyCar driver Michael Andretti’s blank-check firm brought the company public, despite the vast majority of public investors bailing on the deal.

Shares of Zapata AI, as the Boston-based company is known, slumped to $5.70 each on Monday on the Nasdaq in its first trading day after completing the deal with Andretti Acquisition Corp. The stock’s decline continues a recent trend of volatility for firms that went public via special-purpose acquisition company as the majority of investors pulled their cash from the deal.

Between the day of the investor vote and Thursday’s close, the stock swung as low as $7.60 and as high as $18.50.